- Shared ownership, retirement and local authority housing investor Residential Secure Income said it posted a positive performance in its fiscal first half amid a rise in rental income.

The company's net asset value in the six months through March rose 2.7% to 107.9p per share.

Earnings per share more than doubled to 4.5p, up from 1.8 pence for the 8.5 month period to 31 March 2018.

Annualised net rental income rose 125% to £11.5m, while there was an 8.3% uplift in the portfolio valuation.

Dividends of 2.5p per share declared for the period, in line with the 5.0p per share target for the current financial year.

'ReSI has demonstrated its ability, through ReSI Housing, our registered provider of social housing, to acquire properties funded by government grant, including shared ownership,' chairman Robert Whiteman said.

'Having now acquired our first shared ownership investments, we are especially enthusiastic about the opportunities this sector presents.'

'Shared wwnership is increasingly being seen as an effective solution to lack of affordability across a range of value points, and is an efficient way for government grant funding to be used, as the grant translates directly into a subsidised level of rent.'

'Shared ownership presents a very scalable investment opportunity, and we expect to be focussing our future deployment in this area.'

'Having substantially committed the capital raised at IPO, together with leverage currently at around 36% borrowings to gross asset value, the focus is now on delivering the shared ownership part of the portfolio to becoming fully income-producing.'

Story provided by